What Does DRG Mean?
DRG stands for diagnosis-related group.
The higher the relative weight, the more resources are required to treat a patient with that DRG.
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This is why very serious medical situations, such asorgan transplants, have among the highest DRG weight.
Your hospital got paid $7,800 for your hospitalization.
The non-labor portion varies for Alaska and Hawaii, according to a cost-of-living adjustment.
The Manhattan hospital probably has a higher base payment rate than the Knoxville hospital.
Each of these things tends to increase a hospitals base payment rate.
Each October, Medicare assigns every hospital a new base payment rate.
Are Hospitals Making or Losing Money?
So Medicare reduced the base payments rates to account for this.
Hospitals in rural areas are especially struggling.
Rural hospitals are not the only ones at risk.
Research Data Assistance Center.International Classification of Disease (ICD) Codes in Medicare Files.
Centers for Medicare and Medicaid Services.ICD-10.
National Institutes of Health.Changes in US Hospital Financial Performance During the COVID-19 Public Health Emergency.
Congress.gov.H.R.34 - 114th Congress (2015-2016): 21st Century Cures Act.
Centers for Medicare and Medicaid Services.MS-DRG Classifications and Software.
Centers for Medicare and Medicaid Services.Bundled Payments for Care Improvement (BPCI) Initiative.
Centers for Medicare and Medicaid Services.Acute Inpatient PPS.
September 2, 2020.
American Hospital Association.Costs of Caring.
